Cheap chic retailer Target and luxury department store Neiman Marcus announced Tuesday that they're teaming up on a holiday fashion, home and accessories collection to be sold at both chains. Strange bedfellows? Not really. The two have more in common than meets the eye.

You might not have heard of tween-focused chain Justice, but young girls are swooning over its fashions. In fact, girls age 7 to 12 now call the specialty retailer their main clothing crush, as opposed to their former steady, Target.

Target may be planning to add something that's chic but certainly not cheap to some of its stores. Sources say Apple will open small stores within 25 of Target's largest stores later this year. But you may be surprised about which ones.

For years, Walmart has been out to prove it could provide some substance for stylish wardrobes, but shoppers didn't buy the idea of fashion from the retail giant. No shock, its high hopes to emulate Target's "cheap chic" reputation have failed: Walmart's shutting down its Manhattan apparel office.

Tuesday morning's big earnings report was from Walmart, and the results have been trumpeted as impressive: Profits were up 5.7%. But a closer look at the numbers, and a careful consideration of recent retail history, suggests that the world's largest retailer is a fading giant.